
Business Growth Fund
Description
Business Growth Fund (BGF) stands as a prominent and highly active investor in small and mid-sized businesses across the United Kingdom and Ireland. Established in 2011, BGF was initially founded with the backing of major UK banks, including Barclays, HSBC, Lloyds, NatWest, and Standard Chartered, to address the funding gap for growing companies. Its unique model focuses on providing patient, long-term capital to established businesses seeking to expand, innovate, or undertake strategic acquisitions, positioning itself as a crucial enabler of economic growth within its target markets.
BGF primarily makes minority equity investments, typically ranging from $1.27 million (£1 million) to $19.05 million (£15 million) in exchange for a stake in the business. This approach allows existing management teams to retain control while benefiting from BGF's financial backing and strategic support. The fund is sector-agnostic, investing in a diverse range of industries, from technology and manufacturing to consumer goods and healthcare. Its investment philosophy emphasizes partnership, aiming to work collaboratively with founders and management to achieve their growth ambitions rather than seeking immediate exits.
Since its inception, BGF has demonstrated significant scale and impact, deploying over $4.45 billion (£3.5 billion) across more than 500 companies. This makes it one of the most prolific growth capital investors in the UK. Beyond capital, BGF offers its portfolio companies access to an extensive network of entrepreneurs, non-executive directors, and sector specialists, providing valuable operational guidance and strategic insights. Its commitment to supporting the long-term development of businesses underscores its role as a key player in the European venture and growth capital landscape.
Investor Profile
Business Growth Fund has backed more than 469 startups, with 31 new investments in the last 12 months alone. The firm has led 392 rounds, about 84% of its total and boasts 85 exits across its portfolio.
Investment Focus Highlights
- Concentrates on Series Unknown, Private Equity, Series A rounds (top funding stages).
- Majority of deals are located in United Kingdom, Ireland, United States.
- Strong thematic focus on Software, Manufacturing, Information Technology.
- Led 25 rounds in the past year.
- Typical check size: $1.3M – $19.1M.
Stage Focus
- Series Unknown (62%)
- Private Equity (12%)
- Series A (9%)
- Seed (6%)
- Series B (4%)
- Post Ipo Equity (2%)
- Debt Financing (1%)
- Series C (1%)
Country Focus
- United Kingdom (92%)
- Ireland (3%)
- United States (2%)
- Canada (1%)
Industry Focus
- Software
- Manufacturing
- Information Technology
- Health Care
- E-commerce
- Consulting
- Retail
- Food And Beverage
- Biotechnology
- Energy
Frequently Asked Questions
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